Centre saved over 12 percent in construction cost of the country’s first eight-lane, four-level Dwarka Expressway project from the initial estimates. According to the official auditor Comptroller and Auditor General (CAG), the project cost was exorbitant and misplaced as the auditor did not factor in the actual cost. 

Top sources in the road transport ministry, in conversation with news agency PTI, revealed that the project cost was much higher than the established cost structure. 

Rs 18 crore per km to Rs 250 crore per km

In its report tabled during the just concluded monsoon session of Parliament, the CAG had found that the National Highways Authority of India’s (NHAI) decision to go for an elevated carriageway on the Haryana portion of the Dwarka Expressway increased the construction cost to Rs 251 crore per kilometre from Rs 18.2 crore per km estimated earlier.

The assessment findings on the implementation of Phase-I execution for the ‘Bharatmala Pariyojana’ highway initiatives sparked a political dispute, as the opposition parties contend that the project’s awarding procedure was tainted by allegations of corruption.

CAG flags ‘very high’ project cost 

The ministry sources explained that the tender process encompassed all four sections of the Dwarka Expressway, with an initial average civil cost of Rs 206.39 crore per kilometer. However, the contracts were finally awarded at a lower rate of Rs 181.94 crore per km. The average civil construction cost of the four packages of the expressway was 12 per cent lower than the estimates, they said.

The official also explained that the sharp difference in actual project cost and CAG estimates has come as the official auditor simply divided the total cost of construction of Rs 91,000 crore under the National Corridor Efficiency Programme with the project’s entire length of 5,000 kilometres under development.

The officials further stated that the auditor’s report did not take into account the cost of building bridges and tunnels, and the cost of land acquisition that form a major part of the 28.9 km Dwarka Expressway project. 

They also highlighted that the CAG has itself noted that the cost of construction of Rs 18.2 per kilometre does not include the cost norms for flyovers, ring roads, etc. They are of the view that the expressway in question has elevated roads, underpasses, tunnels and other components which were not part of the project.

Meanwhile, the ministry sources said that they would try to convey their comments on the issue to the CAG and would submit their findings whenever it would come up for discussion in the Public Accounts Committee.

(With PTI inputs)